Goodwill and Intangible Assets

12 Months Ended

Jun. 24, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

NOTE 5 – GOODWILL AND INTANGIBLE ASSETS

Intangible assets subject to amortization consist of the following:


	June 24, 2021			June 25, 2020
Customer relationships	$	21,100		$	21,100
Non-compete agreements		270			270
Brand names		16,990			16,990

Total intangible assets, gross		38,360			38,360

Less accumulated amortization:
Customer relationships		(17,643	)		(16,223	)
Non-compete agreements		(194	)		(139	)
Brand names		(10,562	)		(9,873	)

Total accumulated amortization		(28,399	)		(26,235	)

Net intangible assets	$	9,961		$	12,125

Customer relationships relate to the Squirrel Brand acquisition completed in fiscal 2018 and the Orchard Valley Harvest (“OVH”) acquisition completed in fiscal 2010. The customer relationships resulting from the OVH acquisition were fully amortized in fiscal 2017. The brand names consist primarily of the

Squirrel Brand

and

Southern Style Nuts

brand names acquired in fiscal 2018 and the

Fisher

brand name, which we acquired in a 1995 acquisition. The

Fisher

brand name was fully amortized in fiscal 2011. The remainder of the brand name relates to the OVH acquisition, which was fully amortized in fiscal 2015.

Total amortization expense related to intangible assets, which is classified in administrative expense in the Consolidated Statement of Comprehensive Income, was as follows for the last three fiscal years:


	Year ended June 24, 2021		Year ended June 25, 2020		Year ended June 27, 2019
Amortization of intangible assets	$	2,164	$	2,501	$	3,028

Expected amortization expense the next five fiscal years is as follows:


Fiscal year ending
June 30, 2022			1,896
June 29, 2023			1,657
June 27, 2024			1,414
June 26, 2025			1,156
June 25, 2026			861

Our net goodwill of $9,650 relates entirely to the Squirrel Brand acquisition completed in fiscal 2018. The changes in the carrying amount of goodwill during the two fiscal years ended June 24, 2021 are as follows:


Gross goodwill balance at June 28, 2019	$	18,416
Accumulated impairment losses		(8,766	)

Net balance at June 28, 2019		9,650
Fiscal 2020 and 2021 activity		—

Balance at June 24, 2021	$	9,650